Software industry in the People's Republic of China

Software industry in the People's Republic of China

China's software industry grew at a compound annual growth rate of more than 39% over the period from 2001 to 2007 to reach RMB 506 billion and is further anticipated to grow at a CAGR of nearly 22% through 2012.



Rapid growth in IT spending among various industrial segments, including government, banking and manufacturing are likely to propel the domestic software industry in near future.

The ongoing large-scale endeavors for 3G deployments are expected to fuel growth in the demand for 3G telecom software across various application platforms.

Expanding broadband infrastructure with increased Internet penetration among Small and Medium Businesses (SMBs) will help the SaaS market to grow at a CAGR of approx 44% during 2008-2012.

The software outsourcing market is anticipated to grow at a CAGR of nearly 34% from 2008 to 2012.

The current perception of lack of required talent in coming few years is urging the foreign IT training and education centers to expand into China's IT education market.

Also, China is known as one of the leading countries in software development in world.

Top Chinese software companies

In 2008, there were 984 software companies that achieved 100 million RMB or above in revenues.[1]

  • Beyondsoft
  • CDC Software
  • Chinasoft International Ltd.
  • hiSoft Technology International
  • Integrated Solutions Limited Integrated Solutions Limited (ISL)
  • Kingdee International Software Group Co. Ltd
  • Neusoft
  • UFIDA Software Co. Ltd
  • VanceInfo Technologies Inc.


The exports are mainly driven by the software business given by Japan. Over 60% of Chinese exports are taken up by Japan, as there are a good number of Chinese developers who develop software in Japanese.[2]


It is predicted that in China, Linux market (both server and client) will grow with an annual rate of 34 %. The client-side share growth will be comparatively faster.[citation needed]

Enterprise software

The Enterprise software market including ERP (Enterprise Resource Planning), SCM (Supply chain Management), EAM (Enterprise Asset Management), CRM (Customer Relationship Management) and financial software is growing rapidly. The ERP software is available from UFIDA Software, Kingdee, SAP, etc.

See also


  1. ^ The China Perspective
  2. ^ Sigurdson, Jon. and Jiang, Jiang. “Technological superpower China” by Jon Sigurdson; in collaboration with Jiang Jiang ... [et al.] Edward Elgar Pub., Northampton, MA: 2005.

External links

Wikimedia Foundation. 2010.

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